Spot liquefied natural gas cargoes delivered to Japan last month cost $2.20 per million British thermal units more than in the previous month even as market prices were much lower and available volumes were high.
The surge in liquefied natural gas spot prices in the past year is shown in the latest Japanese government data, with contracted shipments valued at $9.30 per million British thermal units compared with $5.70 per MMBtu a year ago.
Japanese liquefied natural gas imports stayed in the high end at more than 8 million tonnes for March, in line with the volumes purchased in the same month a year ago as prices rose and power generation companies opted to buy more thermal coal.
Japanese liquefied natural gas imports dropped last month as the nation imported more thermal coal for power generation and took additional LNG shipments from Australia and Russia and fewer from the Middle East.
Japanese LNG imports of long-term contract and other cargoes edged higher last month for the first time in 2016 in a market reversal in terms of volumes even as prices were more than 43 percent lower on a year-on-year basis.